Skanska sells portfolio of four office buildings in Krakow and Katowice

Press release 10/12/2015 8:00 AM CET

Skanska Property Poland has sold a portfolio of four office buildings located in two of the country's regional cities. A fund managed by the Swedish fund manager Niam has purchased two investments in Krakow, Kapelanka 42 A and Axis, as well as buildings A and B of the Silesia Business Park complex in Katowice. This is the largest sales transaction conducted this year in the CEE office market and the largest transaction in the history of Skanska's activity in this region.

Axis, Kapelanka 42 - Kraków; Silesia Business Park - Katowice

Skanska Property Poland declared the four buildings up for sale in March 2015. The office buildings with a total area of 63 000 sqm. have ended up in the real estate portfolio of the Niam.

„Niam is happy to acquire a portfolio of A-class buildings with a strong tenant mix from the leading developer in the region”, says Johan Bergman, CEO of Niam.

"The portfolio sale of the Axis and Kapelanka 42 buildings and the two buildings in the Silesia Business Park is the most spectacular transaction in the history of our company in Central Eastern Europe. For the first time we took the decision to sell a portfolio of projects, and it has proved to be a very good move. With mutual trust, partnership and professional approach of Niam and our advisors, we were able to efficiently complete the transaction. The sale clearly shows that investors are interested in high-quality buildings in regional markets, which are a great investment product. We believe in these markets and we will continue to invest there”, says Katarzyna Zawodna, president of Skanska Property Poland.

Kapelanka 42 was Skanska Property Poland's first investment in Krakow. Building A, with a total gross leasable area of 18 000 sqm., was put into operation in the third quarter of 2014 and is already almost fully let. Among the most important characteristics of Kapelanka 42 are its great location in the heart of Podgórze, and its simple but elegant architecture. The building has attained LEED Gold certification.

Axis was Skanska's second office project to be realized in Krakow. The completion of work on the investment is planned for the fourth quarter of 2016. The building offers 21 000 sqm. of total gross leasable area and is nearly 50% let. ABB has signed a contract to lease 10 000 sqm.

The Silesia Business Park is Skanska Property Poland's first project in Katowice. The office complex will comprise four buildings with a gross leasable area of 12 000 sqm. each. Building A had its official opening in February 2015 and is already 80% let. In September, the building obtained LEED Gold certification. Building B will be put into operation in the second half of October 2015. It is already 50% leased.

The sale of the portfolio is an important step in the business activity of Skanska Property Poland. In the next few years, Skanska is set to further strengthen its position by investing in Polish regional cities as well as the capital. They will also continue to work closely with tenants from the modern business services sector. The company is currently working on five office projects: in Warsaw (Atrium 2), Poznan (Maraton), Katowice (Silesia Business Park B and C), Krakow (Axis) and Lodz (Nowa Fabryczna), and is preparing to start new projects.

Skanska Property Poland was supported in the sales process by international consulting firms CBRE and Colliers International, chosen as exclusive agents for the transaction. Legal advice to the developer was provided by Dentons, and to Niam by Linklaters.

Last updated: 8/22/2017